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Although a small country, Moldova has been of interest to U.S. policy makers due to its position between NATO and EU member Romania and strategic Ukraine. In addition, some experts have expressed concern about Russian efforts to extend its hegemony over Moldova through various methods, including a troop presence, manipulation of Moldova’s relationship with its breakaway Transnistria region, and energy supplies and other economic links. Moldova’s political and economic weakness has made it a source of organized criminal activity of concern to U.S. policy makers, including trafficking in persons. U.S. and Moldovan experts have expressed concern about whether Russian President Putin’s annexation of Crimea and attempted destabilization of eastern Ukraine presages a similar effort toward Moldova, including Russian recognition of the independence of Transnistria.

COUNTRY DESCRIPTION: The Republic of Moldova became an independent country after the collapse of the USSR in 1991, and is now a parliamentary democracy. Moldova is a member of NATO’s Partnership for Peace program as well as a member of the Council of Europe. The capital, Chisinau, offers adequate hotels and restaurants, but tourist facilities in other parts of the country are not always highly developed and some of the goods and services taken for granted in other countries are not yet available. For more information please read the Department of State Background Notes on Moldova.

Over the last year, September 2009 – October 2010, the new Government that took office on September 25, 2009 faced many challenges that have threatened the socio-economic growth and development of the country. First of all, the Government got the difficult task of overcoming the financial and economic crisis that started in late 2008, which, in the absence of consistent anti-crisis measures, recorded a negative trend of economic growth, increased budget austerity and, thus, population vulnerability. On the other hand, during this period, a significant part of the Republic of Moldova was affected by the devastation caused by the floods that affected much of the territory of the country.

Despite these adverse conditions and time constraints, the Government continued to implement relevant reforms envisaged in the National Development Strategy, and at the same time initiated new ones imposed by the new socio-economic realities, which, complemented the National Development Strategy, and ensured the unblocking of the economic processes, honoring the state’s social commitments, ensuring normal operation of democratic institutions, boosting European integration process, strengthening relations with trade partners and the donor community.

The Republic of Moldova became an independent country after the collapse of the USSR in 1991, and is now a parliamentary democracy. Moldova is a member of NATO’s Partnership for Peace program as well as a member of the Council of Europe. The capital, Chisinau, offers adequate hotels and restaurants, but tourist facilities in other parts of the country are not always highly developed and some of the goods and services taken for granted in other countries are not yet available.